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Veradigm (Veradigm) Return-on-Tangible-Equity : 13.36% (As of Sep. 2022)


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What is Veradigm Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Veradigm's annualized net income for the quarter that ended in Sep. 2022 was $58 Mil. Veradigm's average shareholder tangible equity for the quarter that ended in Sep. 2022 was $435 Mil. Therefore, Veradigm's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2022 was 13.36%.

The historical rank and industry rank for Veradigm's Return-on-Tangible-Equity or its related term are showing as below:

MDRX's Return-on-Tangible-Equity is not ranked *
in the Healthcare Providers & Services industry.
Industry Median: 10.32
* Ranked among companies with meaningful Return-on-Tangible-Equity only.

Veradigm Return-on-Tangible-Equity Historical Data

The historical data trend for Veradigm's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Veradigm Return-on-Tangible-Equity Chart

Veradigm Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only - Negative Tangible Equity - Negative Tangible Equity 113.29

Veradigm Quarterly Data
Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Tangible Equity 1,563.47 29.40 -49.41 13.36

Competitive Comparison of Veradigm's Return-on-Tangible-Equity

For the Health Information Services subindustry, Veradigm's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Veradigm's Return-on-Tangible-Equity Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Veradigm's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Veradigm's Return-on-Tangible-Equity falls into.



Veradigm Return-on-Tangible-Equity Calculation

Veradigm's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2021 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2021 )  (A: Dec. 2020 )(A: Dec. 2021 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2021 )  (A: Dec. 2020 )(A: Dec. 2021 )
=134.438/( (211.71+25.626 )/ 2 )
=134.438/118.668
=113.29 %

Veradigm's annualized Return-on-Tangible-Equity for the quarter that ended in Sep. 2022 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Sep. 2022 )  (Q: Jun. 2022 )(Q: Sep. 2022 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Sep. 2022 )  (Q: Jun. 2022 )(Q: Sep. 2022 )
=58.112/( (440.448+429.738)/ 2 )
=58.112/435.093
=13.36 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Sep. 2022) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Veradigm  (OTCPK:MDRX) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Veradigm Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Veradigm's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Veradigm (Veradigm) Business Description

Traded in Other Exchanges
N/A
Address
222 Merchandise Mart Plaza, Suite 2024, Chicago, IL, USA, 60654
Veradigm Inc is a healthcare technology company that drives value through its various combination of platforms, data, expertise, connectivity, and scale. It delivers a combination of point-of-care clinical and financial solutions. The Veradigm Network features a dynamic community of solutions and partners providing insights, technology, and data-driven solutions, all working together to transform healthcare insightfully.
Executives
Shih Yin Ho director 222 MERCHANDISE MART, SUITE 2024, CHICAGO IL 60654
Susan Rodriguez director C/O ARDELYX, INC., 34175 ARDENWOOD BLVD, SUITE 200, FREMONT CA 94555
Richard J. Poulton officer: CFO 3646 WESTFIELD LANE, GLENVIEW IL 60026
Tejal Vakharia officer: SVP Gerneral Counsel 222 MERCHANDISE MART PLZ, SUITE 2024, CHICAGO IL 60654
David B Stevens director 1 IMATION WAY, OAKDALE MN 55128
Leah Jones officer: Chief Financial Officer 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654
Paul Black director 400 WOOD ROAD, BRAINTREE MA 02184
Elizabeth Ann Altman director 10070 BARNES CANYON ROAD, SAN DIEGO CA 92121
Thomas Langan officer: President and CCO 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654
Lisa Hammond officer: SVP & Chief HR Officer 305 CHURCH AT NORTH HILLS STREET, RALEIGH NC 27609
Greg Garrison director 222 MERCHANDISE MART PLAZA, CHICAGO IL 60654
Lisa Khorey officer: Chief Client Delivery Officer 222 MERCHANDISE MART PLAZA, CHICAGO IL 60654
Michael Klayko director
Carol J Zierhoffer director 100 NORTH POINT CENTER EAST, SUITE 200, ALPHARETTA GA 30022
Brian Farley officer: SVP Gerneral Counsel & Corpora 222 MERCHANDISE MART PLAZA, SUITE 2024, CHICAGO IL 60654

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